M&A in 2015 Lags 2014, After Sluggish July

In another sign that 2015 may be frontloaded, the volume and value of completed middle-market transactions in July dropped below the level seen in June, according to data from Thomson Reuters. (See related graphic.)

While completed deals for the first six months of the year suggested that 2015 was performing essentially on par with 2014, the July data drags the year-to-date numbers down. With seven months of data tallied, 2015 has delivered only 1,321 completed transactions valued at $164.2 billion, compared with 1,364 completed transactions valued at $184.2 billion in the first seven months of 2014.

Adding more evidence that 2015 may not prove as robust for M&A as 2014, transaction pros continue to express more optimism about the next three months than the next 12 on Mergers & Acquisitions’ monthly surveys. And, while early-stage deal flow grew in July, according to the Mid-Market M&A Conditions Index (MACI), a barometer created by Mergers & Acquisitions, the pace of growth was flat.

When asked why the M&A momentum may be slowing, dealmakers mention high prices for targets, stiff competition and concerns about the global economy, including Greece and China. Recent volatility in the stock markets is likely to add uncertainty to the dealmaking environment.

One of the biggest mid-market deals to close in July was Hormel Foods Corp.'s (NYSE: HRL) $775 million purchase of Applegate Farms, as better-for-you-food deals continue to flourish. Here's a list of other middle-market transactions to close in the month.

Editor’s Note: To measure activity in the middle market, Mergers & Acquisitions looks at transactions that fulfill several requirements: Deals must have a value of roughly $1 billion or less; they must be completed (not just announced) within the timeframe designated; and they must include at least one U.S. company in the role of buyer and/or seller. Excluded from our charts are: recapitalizations; self-tenders; exchange offers; repurchases; stake purchases; and transactions with undisclosed values, buyers or sellers. Our data provider is Thomson Reuters, which updates its databases continuously.

Mid-Market Deals that Closed in July

Date

Acquirer

Target

Target Industry

Value ($mil)

07/02/15

Investor Group

Extendicare Holdings Inc

Social Services

887.0

07/13/15

Hormel Foods Corp

Applegate Farms LLC

Food and Kindred Products

775.0

07/01/15

MAHLE GmbH

Delphi Automotive-Thermal Sys

Transportation Equipment

727.0

07/17/15

Solera Holdings Inc

Identifix Inc

Printing, Publishing, and Allied Services

619.8

07/08/15

CA Inc

Rally Software Dvlp Corp

Prepackaged Software

513.8

07/20/15

Summit Materials Inc

Lafarge N America Inc-Davenpor

Stone, Clay, Glass, and Concrete Products

450.0

07/07/15

Fosun International Ltd

Meadowbrook Ins Grp Inc

Insurance

433.3

07/13/15

Francisco Partners Management

ClickSoftware Technologies Ltd

Prepackaged Software

421.1

07/01/15

Sabre Corp

Abacus International Pte Ltd

Transportation and Shipping (except air)

411.0

07/13/15

Capmark Financial Group Inc

Orchard Brands Corp

Miscellaneous Retail Trade

410.0

07/01/15

CyrusOne Inc

Cervalis Holdings LLC

Business Services

400.0

07/23/15

Oceana Group Ltd

Daybrook Fisheries Inc

Agriculture, Forestry, and Fishing

382.3

07/22/15

Tesoro Logistics LP

QEP Midstream Partners LP

Electric, Gas, and Water Distribution

381.7

07/15/15

Mondelez International Inc

Kinh Do Binh Duong JSC

Food and Kindred Products

370.0

07/09/15

Capitol Acquisition Corp II

Lindblad Expeditions Inc

Transportation and Shipping (except air)

326.9

07/02/15

Amdocs Ltd

Comverse Inc-BSS Business Unit

Prepackaged Software

273.0

07/07/15

Team Inc

Qualspec Inc

Oil and Gas; Petroleum Refining

265.0

07/02/15

NGK Spark Plug Co Ltd

UCI Acq Hldg (No.2) Corp

Transportation Equipment

257.5

07/01/15

Plastipak Packaging Inc

Seda de Barcelona-Packaging

Rubber and Miscellaneous Plastic Products

257.4

07/23/15

Embarcadero Maritime III

HSAM GmbH

Transportation and Shipping (except air)

254.5

07/01/15

Renasant Corp

Heritage Financial Group Inc

Savings and Loans, Mutual Savings Banks

253.4

07/21/15

American Realty Advisors LLC

Vulcan Inc-2201 Wlake Ave

Real Estate; Mortgage Bankers and Brokers

251.0

07/17/15

Investor Group

Hypo SEE Holding AG

Commercial Banks, Bank Holding Companies

243.5

07/03/15

HC International Inc

Orange Triangle Inc

Business Services

240.0

07/07/15

Investor Group

Beacon Capital-Office(2)

Real Estate; Mortgage Bankers and Brokers

225.0

07/20/15

Opera Investments PLC

SoloPower Systems Inc

Electronic and Electrical Equipment

220.0

07/09/15

Walgreens Boots

Liz Earle Beauty Co Ltd

Soaps, Cosmetics, and Personal-Care Products

215.2

07/20/15

Integra LifeSciences Hldg Corp

TEI Biosciences Inc

Drugs

211.0

07/01/15

Shareholders

SeaSpine Inc

Measuring, Medical, Photo Equipment; Clocks

209.8

07/01/15

Pacific Ethanol Inc

Aventine Renewable Energy

Chemicals and Allied Products

190.2

07/09/15

Splunk Inc

Caspida Inc

Printing, Publishing, and Allied Services

190.0

07/16/15

Albany Molecular Research Inc

Gadea Grupo Farmaceutico SL

Drugs

175.2

07/01/15

Investor Group

CommerzBk AG-Eur Loan Portf

Real Estate; Mortgage Bankers and Brokers

171.7

07/01/15

Washington RE Investment Trust

The Wellington,Arlington,Virgi

Construction Firms

167.0

07/21/15

Taylor Morrison Home Corp

Orleans Homebuilders-Operation

Construction Firms

166.0

07/02/15

Ascott Residence Trust

Element New York Times Sq W

Hotels and Casinos

163.5

07/07/15

Ferro Corp

Nubiola Pigmentos SL

Chemicals and Allied Products

162.4

07/07/15

AMETEK Inc

Cognex Corp-Surface

Measuring, Medical, Photo Equipment; Clocks

160.0

07/07/15

Beekman Tower Holdings LLC

Beekman Residential-Beekman To

Real Estate; Mortgage Bankers and Brokers

138.9

07/17/15

GameStop Inc

Geeknet Inc

Business Services

135.7

07/16/15

Starwood Global Opportunity

Office Buildings(2)

Real Estate; Mortgage Bankers and Brokers

130.6

07/10/15

American Water Works Co Inc

Keystone Clearwater Solutions

Construction Firms

130.0

07/01/15

Pennsylvania Services Corp

Pennsylvania Land Resources

Oil and Gas; Petroleum Refining

126.0

07/01/15

Knowles Corp

Audience Inc

Electronic and Electrical Equipment

110.7

07/02/15

ALLETE Clean Energy Inc

AES Armenia Mountain Wind LLC

Electric, Gas, and Water Distribution

108.0

07/13/15

Compass Diversified Holdings

Fresh Hemp Foods Ltd

Food and Kindred Products

106.6

07/16/15

Entercom Communications Corp

Lincoln Financial Media Co

Radio and Television Broadcasting Stations

105.0

07/29/15

Investor Group

Slate Creek at Johnson

Real Estate; Mortgage Bankers and Brokers

101.5

07/01/15

BNC Bancorp,Thomasville,NC

Valley Financial,Roanoke,VA

Commercial Banks, Bank Holding Companies

101.3

07/20/15

Integra LifeSciences Hldg Corp

TEI Medical Inc

Drugs

101.0

07/23/15

Aragon Holdings Inc

Apartment Ppty Portfolio(3)

Real Estate; Mortgage Bankers and Brokers

100.0

07/15/15

DiamondRock Hospitality Co

Sheraton Suites Key West

Hotels and Casinos

94.0

07/17/15

Genco Shipping & Trading Ltd

Baltic Trading Ltd

Transportation and Shipping (except air)

93.7

07/29/15

Strategic Hotels & Resorts Inc

JW Marriott Essex House,New Yo

Hotels and Casinos

89.8

07/10/15

CBRE Global Investors

MG RE-Shopping Ctrs(2)

Real Estate; Mortgage Bankers and Brokers

88.9

07/30/15

NeuStar Inc

Bombora Technologies Pty Ltd

Business Services

86.4

07/09/15

Ashford Hospitality Trust Inc

Bardessono Hotel & Spa,

Hotels and Casinos

85.0

07/01/15

Janus Capital Group Inc

Kapstream Capital Pty Ltd

Investment & Commodity Firms,Dealers,Exchanges

84.3

07/06/15

Cardtronics Inc

Columbus Data Services LLC

Miscellaneous Retail Trade

80.0

07/27/15

Mainstreet Bank

Eagle Bancorp-Loan Portfolio

Credit Institutions

80.0

07/14/15

Arc Logistics Partners LP

UET Midstream LLC

Oil and Gas; Petroleum Refining

74.8

07/01/15

Horizon Bancorp,IN

Peoples Bancorp,Auburn,Indiana

Commercial Banks, Bank Holding Companies

73.1

07/16/15

RLJ Lodging Trust

Hyatt Place,Washington,DC

Hotels and Casinos

68.0

07/02/15

Handy & Harman Ltd

JPS Industries Inc

Stone, Clay, Glass, and Concrete Products

64.0

07/17/15

Apex Technology Co Ltd

Static Control Components Inc

Computer and Office Equipment

63.0

07/24/15

AirBoss-Defense Inc

Immediate Response Tech Inc

Textile and Apparel Products

62.0

07/02/15

American Addiction Centers Inc

Referral Solutions Group LLC

Social Services

60.0

07/16/15

Alere Inc

US Diagnostics Inc

Measuring, Medical, Photo Equipment; Clocks

60.0

07/21/15

Tyco Retail Solutions Inc

FootFall Ltd

Textile and Apparel Products

60.0

07/01/15

Ashford Hospitality Trust Inc

W Atlanta Downtown Hotel

Hotels and Casinos

56.8

07/22/15

Chatham Lodging Trust

Residence Inn,Dedham,MA

Hotels and Casinos

55.5

07/15/15

Buckeye City-Arizona

Valencia Water Co

Electric, Gas, and Water Distribution

55.0

07/02/15

Austin Powder Asia Pacific Inc

Tenaga Kimia Sdn Bhd

Chemicals and Allied Products

54.0

07/01/15

Diversified Rest Hldgs Inc

Buffalo Wild Wings-Rest(18)

Retail Trade-Eating and Drinking Places

54.0

07/03/15

EFI

Matan Digital Printers Ltd

Computer and Office Equipment

50.0

07/13/15

B&G Foods Inc

Spartan Foods of America Inc

Food and Kindred Products

50.0

07/30/15

Lombard Medical PLC

Altura Medical Inc

Measuring, Medical, Photo Equipment; Clocks

49.0

07/01/15

Webster Capital Management LLC

Dover Saddlery Inc

Miscellaneous Retail Trade

48.2

07/23/15

Weston Inc

Greylyn Bus Pk,Charlotte,NC

Real Estate; Mortgage Bankers and Brokers

46.0

07/22/15

InvenTrust Properties Corp

The Highlands of Flower Mound

Real Estate; Mortgage Bankers and Brokers

45.8

07/03/15

Starlight US Multi-Family

Reserves at Alafaya,Orlando,FL

Real Estate; Mortgage Bankers and Brokers

42.7

07/24/15

Wintrust Financial Corp

Community Financial Shares Inc

Commercial Banks, Bank Holding Companies

42.4

07/06/15

Emerald Kalama Chemical LLC

Innospec Widnes Ltd

Chemicals and Allied Products

40.5

07/30/15

Quaker Chemical Corp

Verkol SA

Oil and Gas; Petroleum Refining

40.1

07/08/15

Fortinet Inc

Meru Networks Inc

Computer and Office Equipment

39.6

07/28/15

SunPower Corp

Infigen Energy Ltd-US Solar

Electric, Gas, and Water Distribution

37.9

07/16/15

RLJ Lodging Trust

Homewood Suites,Seattle,WA

Hotels and Casinos

37.9

07/28/15

Vitaligent LLC

Jamba Inc-Rest,California(100)

Retail Trade-Eating and Drinking Places

36.0

07/01/15

Acadia Healthcare Co Inc

Belmont Center

Health Services

35.0

07/01/15

Tiptree Financial Inc

Reliance First Capital LLC

Real Estate; Mortgage Bankers and Brokers

34.7

07/01/15

Gray Television Inc

KOSA-TV, CBS7,Odessa,Texas

Radio and Television Broadcasting Stations

33.6

07/01/15

Ambarella Inc

VisLab srl

Business Services

30.0

07/15/15

Live Ventures Inc

Marquis Industries Inc

Wholesale Trade-Durable Goods

30.0

07/27/15

Brennan Investment Group LLC

Hillsdale Business Park,IN

Real Estate; Mortgage Bankers and Brokers

30.0

07/01/15

SIFCO Industries Inc

C Blade SpA

Metal and Metal Products

28.0

07/03/15

BBITC Acquisition Corp

Advion Inc

Chemicals and Allied Products

28.0

07/28/15

Tullett Prebon PLC

MOAB Oil Inc

Investment & Commodity Firms,Dealers,Exchanges

26.6

07/02/15

WP Carey Inc

Logistics Facility,Oskarshamn

Real Estate; Mortgage Bankers and Brokers

25.5

07/21/15

Bascom Group LLC

Square Apartments,Downey,CA

Real Estate; Mortgage Bankers and Brokers

25.5

07/01/15

IDEX Corp

CIDRA Precision Services LLC

Measuring, Medical, Photo Equipment; Clocks

25.0

07/06/15

Mesa Laboratories Inc

2396081 Ontario Inc

Business Services

21.3

07/07/15

Wilmington Group PLC

Finl Research Assoc LLC-Assets

Investment & Commodity Firms,Dealers,Exchanges

20.6

07/01/15

Veritex Holdings Inc

IBT Bancorp Inc

Commercial Banks, Bank Holding Companies

20.5

07/10/15

Benedict Realty Group LLC

11555 & 11575 Heron Bay(2)

Real Estate; Mortgage Bankers and Brokers

20.2

07/01/15

Gray Television Inc

Neuhoff Family LP-KMVT-TV &

Radio and Television Broadcasting Stations

17.5

07/01/15

Wintrust Financial Corp

North Bank,Chicago,Illinois

Commercial Banks, Bank Holding Companies

17.0

07/14/15

Rexford Industrial Realty Inc

Danielson Court Industrial

Transportation and Shipping (except air)

16.9

07/17/15

Seacoast Bkg Corp of Florida

Grand Bankshares Inc

Commercial Banks, Bank Holding Companies

16.7

07/27/15

Newtek Business Services Inc

Premier Payments LLC

Prepackaged Software

16.5

07/27/15

Masonite International Corp

Performance Doorset Solutions

Wood Products, Furniture, and Fixtures

16.0

07/07/15

Travelport Worldwide Ltd

Mobile Travel Technologies Ltd

Prepackaged Software

15.8

07/01/15

Cheyenne Light Fuel & Power Co

Energy West Wyoming Inc

Electric, Gas, and Water Distribution

15.8

07/07/15

Denver Hospitality II LLC

Element Denver Park Meadows

Hotels and Casinos

15.5

07/01/15

Investor Group

Hartco Inc

Business Services

13.9

07/23/15

Almost Family Inc

Ingenios Health

Health Services

13.4

07/20/15

Poydras Gaming Finance Corp

Integrity Gaming ,Aurora Gamin

Amusement and Recreation Services

13.2

07/18/15

Wintrust Financial Corp

Suburban Illinois Bancorp,IL

Commercial Banks, Bank Holding Companies

12.5

07/22/15

The Descartes Sys Group Inc

Bearware Inc

Transportation and Shipping (except air)

11.3

07/28/15

Virtusa Corp

Agora Group Inc

Business Services

10.4

07/22/15

Wheeler REIT Inc

Forge Capital-Sunshine Plaza

Real Estate; Mortgage Bankers and Brokers

10.4

07/01/15

Gray Television Inc

NEPSK Inc-WAGM-TV

Radio and Television Broadcasting Stations

10.3

07/28/15

Corporate Executive Board Co

CEO Forum Group

Business Services

9.5

07/14/15

Amarantus Biosciences Hldg Inc

Cutanogen Corp

Drugs

9.0

07/02/15

CareTrust REIT Inc

Bristol Court Assisted Living

Health Services

8.4

07/02/15

CareTrust REIT Inc

Shamrock Nursing

Health Services

8.3

07/09/15

Spark Energy Inc

CenStar Energy Corp

Oil and Gas; Petroleum Refining

8.3

07/27/15

Kentucky Bancshares Inc,KY

Madison Financial Corp

Commercial Banks, Bank Holding Companies

7.2

07/24/15

First Interstate BancSystem In

Absarokee Bancorp

Commercial Banks, Bank Holding Companies

7.2

07/01/15

Huhtamaki Inc

Pure-Stat Technologies Inc

Paper and Allied Products

6.6

07/13/15

Wheeler REIT Inc

Chesapeake Sq Shopping Center,

Real Estate; Mortgage Bankers and Brokers

6.3

07/13/15

ARI Network Services Inc

Direct Communications Inc

Miscellaneous Retail Trade

6.3

07/08/15

McSam Hotel Group LLC

Byblos Niagara Resort & Spa

Hotels and Casinos

6.3

07/16/15

Verris LLC

Eastchester Shopping Center

Real Estate; Mortgage Bankers and Brokers

6.3

07/01/15

Black Hills Corp

MGTC-Gas Transmission

Electric, Gas, and Water Distribution

6.0

07/21/15

Victrex PLC

Kleiss Gears Inc

Machinery

6.0

07/29/15

Frutarom Industries Ltd

Scandia Citrus LLC

Agriculture, Forestry, and Fishing

6.0

07/15/15

Goodwill Manasota Inc

2240 & 2150 Whitfield Bldgs(2)

Real Estate; Mortgage Bankers and Brokers

5.6

07/27/15

Benchmark Holdings PLC

Akvaforsk Genetics Center Inc

Agriculture, Forestry, and Fishing

4.3

07/28/15

CAI Int Inc

Clearpointt Logistics LLC

Transportation and Shipping (except air)

4.1

07/24/15

Engagement Labs Inc

Keller Fay Group

Business Services

4.0

07/13/15

Beresford Energy Corp

Octava SA

Investment & Commodity Firms,Dealers,Exchanges

3.9

07/09/15

SITO Mobile Ltd

Hipcricket Inc-Mobile Advg Bus

Business Services

3.8

07/07/15

Flora Real Properties LLC

633 W Michigan LLC-Ramada

Hotels and Casinos

3.8

07/10/15

DCX-CHOL Enterprises Inc

Southern California Braiding

Electronic and Electrical Equipment

2.5

07/31/15

PRA Health Sciences Inc

Value Health Solutions Inc

Aerospace and Aircraft

2.5

07/02/15

Wellcom Group Ltd

Dippin' Sauce LLC

Motion Picture Production and Distribution

2.2

07/24/15

CenterState Banks,Davenport,FL

SBk FSB-Palm Beach Gardens,FL

Commercial Banks, Bank Holding Companies

2.0

07/20/15

Hunt Family LP

Hunt Mining Corp

Mining

1.1

07/24/15

Strongbow Exploration Inc

Thor Gold Alaska Inc

Mining

0.5

07/13/15

Springer Energy Partners LP

Ncote Energy Ltd-S Weslaco

Oil and Gas; Petroleum Refining

0.4

07/01/15

Starbreeze AB

Payday Productions LLC

Business Services

0.3

Key Middle-Market M&A Deals Completed in July 2015

Source: Thomson Reuters

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